Investor Bulletin: 10 Things to Ask Before Buying Physical Gold, Silver, or Other Metals
The Commodities Futures Trading Commission (CFTC) and the Financial Industry Regulatory Authority (FINRA) are jointly issuing this Investor Bulletin to make investors aware of frauds involving investments in physical precious metals, in particular those involving self-directed individual retirement accounts (SDIRAs).
Gold or silver IRA frauds frequently target older workers and retirees because they typically have more money saved in their qualified retirement accounts than younger people. Those in or near retirement also commonly seek safe places to keep their wealth, to ensure they'll have money well into the future or possibly to pass on to heirs.
However, precious metals prices can fluctuate just like other investments, and frauds that oversell safety, overinflate the price of metals, and overcharge fees and commissions rob older adults of their retirement nest eggs at a point in life when they might be unable to return to work or otherwise support themselves. Over the past decade, the CFTC has charged numerous companies with selling overpriced precious metals to customers, for an alleged total of more than $500 million in fraudulent sales.
Source Fool.com
